Bitcoin came under heavy pressure this week after briefly falling below the $62,000 level for the first time since February, triggering a wave of panic across the crypto market.
Bitcoin came under heavy pressure this week after briefly falling below the $62,000 level for the first time since February, triggering a wave of panic across the crypto market. The selloff wiped out billions of dollars in leveraged positions and reignited concerns about upcoming Bitcoin distributions from the collapsed crypto exchange Mt. Gox.
The move has left traders wondering whether more Bitcoin could soon hit exchanges and increase selling pressure at a time when the market is already fragile.
According to blockchain tracking platform Lookonchain, a wallet linked to Mt. Gox recently transferred 116.3 BTC, worth roughly $8.2 million, to crypto exchange Bitstamp.
Although the amount itself is relatively small compared to Bitcoin's daily trading volume, the transfer attracted attention because it appears to be connected to the exchange's long-running creditor repayment process.
The transaction follows an earlier movement of 10,422 BTC from Mt. Gox cold wallets. That larger transfer immediately caught the attention of traders, many of whom feared a potential selloff from creditors receiving their long-awaited Bitcoin payouts. The latest movement suggests that at least part of the repayment process is moving forward.
Market observers say the real focus is no longer the 116 BTC sent to Bitstamp. Instead, attention has shifted toward the wallet holding more than 10,423 BTC.
Analysts believe that if the smaller transfer was made to facilitate repayments, there is a growing possibility that the larger Bitcoin stash could eventually follow a similar path.
That does not necessarily mean an immediate sale is coming. However, any movement involving such a large amount of Bitcoin tends to attract market attention because of its potential impact on supply and sentiment.
Despite years of repayments and distributions, Mt. Gox still controls a significant amount of Bitcoin. Current estimates suggest the exchange holds approximately 34,500 BTC worth more than $2.4 billion at current market prices.
The repayment process is scheduled to continue until October 31, 2026.
Reports indicate that around 19,500 out of 24,000 eligible creditors have already received distributions through partner exchanges such as Bitstamp and Kraken. Because the process has been spread over several years, analysts generally do not expect all remaining Bitcoin to enter the market at once.
The Mt. Gox headlines arrived as Bitcoin dropped below $62,000, creating a sharp reaction across the crypto market. According to market data, more than $1.5 billion in leveraged positions were liquidated during the selloff.
Bitcoin alone accounted for roughly $800 million in liquidations, while Ethereum positions contributed another $386 million.
The sudden decline forced many traders out of their positions, accelerating downside pressure and pushing prices even lower.
Although Bitcoin later recovered and climbed back toward $64,600, the volatility highlighted how nervous the market has become.
Beyond Mt. Gox, institutional demand remains another major concern. U.S. spot Bitcoin ETFs have recorded approximately $1.4 billion in net outflows this week alone.
Leading the outflows is BlackRock's Bitcoin ETF, which reportedly accounted for nearly $1.1 billion of those withdrawals.
ETF outflows reduce buying support and often signal that institutional investors are becoming more cautious about short-term market conditions.
This trend has added further pressure to Bitcoin as traders search for signs of renewed demand.
Adding to market concerns, Michael Saylor's company Strategy recently sold 32 BTC worth around $2.5 million.
The amount represented only a tiny fraction of the firm's massive 843,706 BTC holdings, currently valued at more than $56 billion.
However, some analysts argue that the sale's significance was more psychological than financial.
Because Strategy has long been known for its aggressive buy-and-hold approach, any sale naturally attracts investor attention during periods of market weakness
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